BUSINESS ETHICS

PGEX, IIM Ranchi (May 2016)

Introduction
Pundits sometimes quip that business ethics is contradiction in terms because there is an inherent
conflict between ethics and the self interested pursuit of profit. Smart and successful businesses are
increasingly realizing that an ethical pursuit of business goals is not only politically correct, it also leads
to long term business success. You can figure out from your personal experience that when companies are
competing with one another for customers and best employees, the company with an ethical reputation
has an advantage. Increasingly the companies are looking at this relationship seriously and trying to
incorporate some of these issues in their business practices.
Objectives
The primary objectives of the course are as follows:
1. Introduce the ethical concepts that are relevant for resolving moral issues in business by business
leaders.
2. Impart the reasoning and analytical skills needed by the leaders to apply ethical concepts to
business decisions.
3. Identify the moral issues involved in the management of specific problem areas in business.

Methodology
The course is predominantly case discussion oriented. Important topics would be followed by a case
study. Active participation and involvement of the students, hence, is a pre-condition for running this
course. The course uses ethical principles to understand ethical issues vis a vis different stakeholders. Our
endeavor, in class, would be to identify issues that could range from responsible (beyond the call of duty),
ethical (required but not coded in law) and unethical (maybe not coded in law but considered unethical),
for key stakeholders, i.e., the society (environment and all), the markets, consumers (marketing &
consumer production) and employees. For each one of these 4 stakeholders one case is identified to
highlight key issues, however, we would try to identify different issues ranging on the continua of
responsible to unethical (given above)
For group assignments, the class may be divided into 4 groups, each group will be responsible for
conducting discussion on one case. The case and the key questions for case discussion are being
provided.

Besides the cases there are 2 debate issues and the students are required to think on those issues, have an
independent opinion and come prepared to the class for a meaningful discussion.
Schedule
Session 1: Introduction, Ethics & Business.
Session 2: Ethical Principles in Business: Utilitarianism, Rights, Justice, Care & Virtues
Interpretation of Ethics
Session3: Business and Society
Case Study: 'The ITC e-Chaupal Initiative (Group 1 to lead the case discussion)
Debate 1: Should the law enforce a CSR contribution (Companies Act 2013)?
Session 4: Ethics of Markets and other Business Models
Session 5: Case Study: Microsoft's Pricing Policies (Group 2 to lead the discussion)
Session 6: Ethics of Marketing & Consumer Production
Debate2: Marketing at the bottom of the pyramid: Is it ethical?
Session 7: Case Study: Sweet Deal: Industry self regulation of Breakfast Cereal Advertising to
Children (Group 3 to lead the discussion)
Session 8: Ethics and Internal Stakeholders: HRM Issues
Sessions 9 : Case Study--Jonah Creighton (Group 4 to lead the discussion)
Session 10: Consolidating Factors impacting ethics in business
READINGS
Text
Velasquez, M.G.. Business Ethics: Concepts and Cases. 7th edition. Prentice Hall.

Some Additional Readings (Attached)

Movies

The Corporation (2002), Wall Street (1987), Big Men (2014).

Assessment
Group

Case Discussion

20

Individual
Attendance & Class participation

10

End Term Exam

40

Total

100